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This paper addresses the growing fragmentation between traditional and digital service innovation (DSI) research and offers a unifying metatheoretical framework.

Grounded in service-dominant (S-D) logic's service ecosystems perspective, this study builds on an institutional and systemic, rather than product-centric and linear, conceptualization of value creation to offer a unifying framework for (digital) service innovation that applies to both physical and digital service provisions.

This paper questions the commonly perpetuated idea that DSI fundamentally changes the nature of innovation. Instead, it highlights resource liquification—the decoupling of information from the technologies that store, transmit, or process this information—as a distinguishing characteristic of DSI. Liquification, however, does not affect the relational and institutional nature of service innovation, which is always characterized by (1) the emergence of novel outcomes, (2) distributed governance and (3) symbiotic design. Instead, liquification makes these three characteristics more salient.

In presenting a cohesive service innovation framework, this study underscores that all innovation processes are rooted in combinatorial evolution. Here, service-providing actors (re)combine technologies (or more generally, institutions) to adapt their value cocreation practices. This research demonstrates that such (re)combinations exhibit emergence, distributed governance and symbiotic design. While these characteristics may initially seem novel and unique to DSI, it reveals that their fundamental mechanisms are not limited to digital service ecosystems. They are, in fact, integral to service innovation across virtual, physical and blended contexts. The study highlights the importance of exercising caution in assuming that the emergence of novel technologies, including digital technologies, necessitates a concurrent rethinking of the fundamental processes of service innovation.

This paper identifies how the operations of labour market intermediaries (LMIs) transform dyadic employment relationships into triadic ones. It reveals the change dynamics that LMIs engage in to bring about this transformation and that contribute to the projectification of work.

Drawing on an institutional-work lens and using interview data from both TempX, a German-based staffing service provider, and its client organizations, the analytical framework details the dynamics by which LMIs appropriate various HR tasks and different labour-market-organizing roles and thus create these triadic employment relationships.

TempX assumes a powerful position between its client organizations and workers by increasingly taking over HR tasks from its client organizations, alternating between profiting from market transactions and engaging as a buyer and seller of labour. This powerful position, gradually created through four distinct, sequential, institutional work dynamics, allows it to transform dyadic employment relationships into triadic ones and to promote project-based work.

By showing how LMIs capitalize on the multiple services they offer, and how they use these services to establish a powerful position in both the labour market and in their relations with client organizations, this paper contributes to research on how LMIs change their institutional environment. Second, by showing that LMIs switch between different labour-market organizing roles and HR tasks, this paper reveals how essential this switching is for LMIs to establish triadic employment relationships and to drive the projectification of work, and thus it also contributes to research on LMIs’ role in the projectification of work.